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S T a T E O F M I C H I G a N Before the Michigan Public

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S T a T E O F M I C H I G a N Before the Michigan Public Filed with the Iowa Utilities Board on September 23, 2019, TF-2018-0030 S T A T E O F M I C H I G A N BEFORE THE MICHIGAN PUBLIC SERVICE COMMISSION * * * * * In the matter, on the Commission’s own motion, ) to review issues concerning customer information ) and data privacy related to advanced metering ) Case No. U-17102 infrastructure deployment. ) ) At the October 17, 2013 meeting of the Michigan Public Service Commission in Lansing, Michigan. PRESENT: Hon. John D. Quackenbush, Chairman Hon. Greg R. White, Commissioner Hon. Sally A. Talberg, Commissioner ORDER History of Proceedings On January 12, 2012, the Commission issued an order opening Case No. U-17000 in response to concerns raised by some individuals and local governments regarding the deployment of advanced metering infrastructure (AMI) by electric utilities in Michigan. In that order, the Commission directed all regulated electric utilities to submit information regarding various issues in AMI deployment including the collection of customer information and data privacy. After the submissions by the utilities, the Commission provided interested persons with an opportunity to comment. Following the deadline for the submission of comments, the Commission Staff (Staff) was directed to prepare a report for the Commission’s consideration. Specifically, the Staff was asked to summarize the filings from the utilities and interested persons, independently review the Filed with the Iowa Utilities Board on September 23, 2019, TF-2018-0030 literature regarding AMI, and identify any developments in other jurisdictions pertinent to the investigation. At the end of its report, the Staff was directed to make its recommendations concerning further deployment of AMI. In its report, the Staff stated, inter alia, that customer data privacy is a priority for customers, energy providers, and the Commission. The Staff also observed that data protection standards, practices, and procedures are constantly evolving and are being updated at the national and state levels. The Staff recommended that customer data privacy be addressed through utility tariffs or rulemaking. In an order issued on September 11, 2012 in Case No. U-17000, the Commission discussed the Staff’s recommendations and found that the matter of customer data privacy was sufficiently important to merit the creation of this docket for the specific purpose of addressing customer data privacy. On October 31, 2012, the Commission issued an order in this docket (October 31 order), in which it directed Consumers Energy Company (Consumers) and The Detroit Edison Company (Detroit Edison)1 to provide comments on a customer privacy framework that the Commission proposed after a review of best practices. In addition, the companies were directed to respond to several questions related to customer data privacy. Comments and responses were received from Detroit Edison, Consumers, and several interested parties. On June 28, 2013, the Commission issued an order (June 28 order) discussing the comments and revising the privacy framework. The Commission also attached a model privacy policy created by the Staff, which the Commission found was “an example of a reasonable privacy policy that balances the interests of the company in providing reliable utility service with the interests of customers in assuring that their information is collected, used, and disclosed appropriately.” June 28 order, p. 11. Finally, the 1 Detroit Edison is now DTE Electric Company. Page 2 U-17102 Filed with the Iowa Utilities Board on September 23, 2019, TF-2018-0030 Commission directed DTE Electric Company, DTE Gas Company, and Consumers to file proposed customer data privacy tariffs for public comment in this docket. On August 27, 2013, the companies filed proposed tariffs. Comments were subsequently received from Thomas J. Moran, Michelle Rison, Deanna Hilbert, and Joseph and Teresa Pilarz. Discussion As the Commission has discussed in previous orders in this docket, and in Case No. U-17000, because utilities today provide a much wider range of services and programs, these companies now collect a far greater amount of customer data and information than they did even a decade ago. At the same time, utility customers continue to have a reasonable expectation of privacy related to the information that utilities collect, maintain, and disclose, including energy usage data and information provided by some customers and used for the implementation and evaluation of various utility programs. Using the framework established and refined in the October 31 and June 28 orders, the Commission endeavored to strike a reasonable balance between the companies’ need for information to facilitate the provision of safe, reliable, energy service and to comply with new legislative mandates, with customers’ expectations regarding the collection, disclosure, and use of their data and personal information. In summary, the Commission has determined that an acceptable data privacy policy should limit the collection, use, or disclosure of any customer information to accomplishing primary utility purposes only. Primary utility purposes should encompass not only traditional utility service but should also include all other regulated programs including energy efficiency, demand management, renewable energy, and low-income programs. However, should a utility wish to collect, use, or disclose customer information for a secondary (i.e., non-utility) purpose, the utility must obtain informed consent from the customer in advance. In addition, the privacy policy Page 3 U-17102 Filed with the Iowa Utilities Board on September 23, 2019, TF-2018-0030 should assure that all customer information is protected from unauthorized use or disclosure by utility affiliates and contractors or agents. And a utility privacy policy must ensure that a customer, or a third-party authorized by that customer, is not impeded in accessing the customer’s information in accordance with the customer’s request. Finally, while the Commission briefly discussed the Code of Conduct in the June 28 order, it should be clarified that a data privacy tariff that applies to regulated utility service does not supersede the Code of Conduct. The Commission has reviewed the proposed tariffs filed by Consumers and the DTE companies, attached as Exhibit A, and finds them in compliance with the framework established in the October 31 and June 28 orders. THEREFORE, IT IS ORDERED that: A. Within 30 days of the date of this order, DTE Gas Company, DTE Electric Company, and Consumers Energy Company shall file customer data privacy tariffs substantially similar to those contained in Exhibit A attached to this order. B. Within 30 days of the date of this order, DTE Gas Company, DTE Electric Company, and Consumers Energy Company shall display a link to the customer data privacy tariff prominently on their respective websites. The Commission reserves jurisdiction and may issue further orders as necessary. Page 4 U-17102 Filed with the Iowa Utilities Board on September 23, 2019, TF-2018-0030 Any party desiring to appeal this order must do so in the appropriate court within 30 days after issuance and notice of this order, under MCL 462.26. MICHIGAN PUBLIC SERVICE COMMISSION ________________________________________ John D. Quackenbush, Chairman ________________________________________ Greg R. White, Commissioner ________________________________________ Sally A. Talberg, Commissioner By its action of October 17, 2013. ________________________________ Mary Jo Kunkle, Executive Secretary Page 5 U-17102 EXHIBIT A Filed with the Iowa Utilities Board on September 23, 2019, TF-2018-0030 M.P.S.C. No. 1 - Electric Original Sheet No. C-74.00 DTE Electric Company (Customer Protections U-17102) (Continued from Sheet No. C-74.00) C14 CUSTOMER PROTECTIONS C14.1 DATA PRIVACY A. “Aggregate Data” means any Customer Account Information from which all identifying information has been removed so that the individual data or information of a customer cannot be associated with that customer without extraordinary effort. B. “Contractor” or “Company Agent” means an entity or person performing a function or service under contract with or on behalf of the Company, including, but not limited to customer service, demand response, energy management, energy efficiency programs, payment assistance, payroll services, bill collection, or other functions related to providing electric and natural gas service. C. “Customer” means a purchaser of electricity or natural gas that is supplied or distributed by a utility for residential or nonresidential purposes. D. “Customer Account Information” means individually identifiable information including Personal Data and Customer Usage Data. Customer Account Information also includes information received by the Company from the customer for purposes of participating in regulated utility programs, including, but not limited to bill payment assistance, shutoff protection, renewable energy, demand-side management, load management, or energy efficiency. E. “Customer Usage Data” [or “Consumption Data”] means customer specific gas and electric usage data, including but not limited to ccf, Mcf, therms, dth, kW, kWh, voltage, var, or power factor, and other information that is recorded by the electric or gas meter for the Company and stored in its systems. F. “Informed Customer Consent” means, in the case where consent is required: the customer is advised of the (1) data or information to be collected and allowable uses of that data or information by
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